1. The Ontario Food Cluster advantage for global trade and investment March 2013

2. Ontario Food Cluster The Ontario Food Cluster is among the three largest food and beverage processing jurisdictions in North America – and is the largest in Canada Ontario has a global reputation for food quality, processing methods, and safety standards The Ontario Food Cluster offers rapid access to trade and investment opportunities throughout the province’s agri-food and beverage sector We guide business to the Ontario regions that provide the best opportunities for agri-food success Our job is to make your job easier 2 Welcome to the Ontario Food Cluster

3. A two-hour flight from most major U.S. cities

4. Zoom in on the Ontario Food Cluster 4 Welcome to the Ontario Food Cluster

5. The Ontario Food Cluster 5 Welcome to the Ontario Food Cluster Eleven regional, city and community members Three provincial and federal government partners Countless benefits to locating a business in Ontario www.ontariofoodcluster.com

6. A compelling opportunity for the global agri-food sector 6 Welcome to the Ontario Food Cluster Canada is a thriving market for food products. Due to the North American Free Trade Agreement (NAFTA), Ontario enjoys access to over 460 million consumers and a combined GDP of $17 trillion across Canada, Mexico and the U.S. Ontario has more of Canada's grocery and specialty food store market than any other Canadian province. Ontario’s retail grocery sales total $29 billion Manufacturing revenues from the Ontario agri-food industry are expected to hit $40 billion in 2013

7. Our people story – Ontario’s #1 employer is the agriculture and agri-sector 7 Welcome to the Ontario Food Cluster 130,000 people in Ontario work directly in agri-food processing/manufacturing and wholesaling, and 483,000 more people work in related sectors such as food service, retail and specialty stores This makes the agriculture and agri-food sector Ontario’s #1 employer Ontario has the highest number of qualified engineers in the G7, report by Swiss-based Institute for Management Development (IMD)

8. Ontario is the largest provincial economy in Canada – an aggressive trading nation 8 Welcome to the Ontario Food Cluster 3,200 agri-food companies in the Ontario Food Cluster More than $1.5 billion worth of goods cross the Canada ‑ US border every day Ontario has an export-oriented business culture: agri-food exports total $9.91 billion Canada has the fastest employment growth in the G7 KPMG ranks Canada as the most competitive country in the G7

9. Ontario’s top agri-food exports 9 Welcome to the Ontario Food Cluster Top agri-food exports, Ontario 2011 ($ millions) Baked goods (bread, pastry etc.) 648.8 Soya beans572.3 Other food preparations349.5 Sweet biscuits348.1 Sugar confectionary without cocoa282.4 Pork cuts, fresh / chilled277.4 Waffles and wafers257.7 Coffee, roasted, not decaffeinated256.3 Tomatoes, fresh / chilled226.6

10. Ontario is Canada’s “business province” and has a strong entrepreneurial culture 10 Welcome to the Ontario Food Cluster It takes only one procedure and five days to register a company Canada’s corporate taxes heading down across a broad range of categories, and employers in Canada enjoy the lowest payroll taxes among their counterparts in G7 countries In 2013 Canada’s combined federal-provincial statutory general corporate income tax rate averages 26% – 13% less than the average U.S. rate.

11. Canada has stellar economic fundamentals and is a G7 leader 11 Welcome to the Ontario Food Cluster World’s soundest banking system Tax credits can save foreign investors, on average, up to 30 cents on each dollar invested in R&D in Canada Among the lowest tax rate on new business investment in G7 Highest proportion of college and university graduates in the OECD Soundness of banks world rank

12. Zero-tariff approach to food processing and manufacturing inputs 12 Welcome to the Ontario Food Cluster Tariff-free-zone for all manufacturing inputs, machinery and equipment 50% per year straight-line depreciation for food manufacturing and processing equipment Adds up to rapid profitability on new Canadian operations

13. Ontario’s agri-food sector strategic R&D and tax incentive programs Agriculture and Agri-Food Canada's Growing Forward 2 program enhances the competitiveness of agri-food sectors. A federal-provincial-territorial initiative, it is a $3 billion initiative provided between 2013 to 2018 Agricultural Adaptation Council’s Canadian Agriculture Adaptation Program (CAPP) is a five year, $163 million initiative to help the sector adapt and remain globally competitive See more government incentive programs at www.ontariofoodcluster.com/incentives 13 Welcome to the Ontario Food Cluster

14. Consider Ontario’s agri-food R&D advantages Lowest costs in G7 for R&D intensive sectors, with up to a 10.7% advantage over the U.S. 55 agri-food-specific university and college programs 14 Welcome to the Ontario Food Cluster Commitment to labour force & research expertise

15. Dedicated agri-food research and labour development institutes and networks University of Guelph University of Toronto McMaster University (Hamilton) Ryerson University University of Waterloo Conestoga College, Institute of Food Processing Technology Western University (London) Laurier University (Brantford) Soy 20/20 Welcome to the Ontario Food Cluster The Ontario Food Cluster fosters a collaborative, innovation approach throughout the agri-food sector Food Institute Centre for Food and Soft Materials Science Ontario Agri-Food Technologies Programs in Food Safety, Nutrition and Regulatory Affairs NSF International-Guelph Food Technology Centre Greenhouse and Processing Crops Research Centre (Essex County) Many more 15

16. Ontario offers excellent location and attitude for doing global business 16 Welcome to the Ontario Food Cluster Ontario Food Cluster communities are within a two hour or less drive of the U.S. border Recent multi-billion dollar investments in port, rail, road and air transport offer supply chain efficiencies One in five Canadians has a mother tongue other than English or French Asian and European languages spoken extensively Canada leads the G7 for the administration of justice and for offering equal opportunities to individuals

17. Ontario residents share in Canada’s excellent quality of life Among highest number of entrepreneurs in working population Clean air, water and land Cultural diversity within a tolerant society Many recreation options Publicly-funded healthcare 17 Welcome to the Ontario Food Cluster Source: Statistics Netherlands 2011

18. Fast-track immigration process 18 Welcome to the Ontario Food Cluster Responsive to agri-food business expansion Uncapped number of work permits available to foreign workers Fast, straightforward process for intra-company transfers Special programs to help recruit R&D talent

19. Are you hungry yet? The Ontario Food Cluster welcomes you! Join 3,200 globally recognized agri-food companies including: 19 Welcome to the Ontario Food Cluster General Mills Canada H.J. Heinz Company of Canada Ltd. Parrish & Heimbecker Limited Dr. Oetker Canada Kraft Canada Inc. George Weston Ltd. Maple Leaf Foods Kellogg Canada Cargill Canada Purdy Fisheries Saputo Inc. Unilever Dare Foods McCain Foods Parmalat Canada Horizon Milling G.P. Wing’s Food Products Bonduelle Ferrero Canada Ltd. / Ltée ConAgra Foods Inc. Vincor Canada Solis Mexican Foods Inc. Clovermead Bees and Honey

20. Get to know us at: www.ontariofoodcluster.com Greater Toronto Area Guelph Waterloo Region Elgin County City of Brantford City of Hamilton City of London County of Middlesex Niagara Region 20 Welcome to the Ontario Food Cluster Southwestern Ontario Marketing Alliance (SOMA) Windsor-Essex Ontario Ministry of Agriculture and Food Ministry of Rural Affairs DFAIT Agriculture and Agri- Food Canada

21. March 2013 The Ontario Food Cluster advantage for global trade and investment